No one is buying the kindle for the android name, they want it because its an Amazon Kindle. Primarily buyers want it for reading and possibly for music listening, some apps, and some games. Fragmentation won't matter here.

Apple is really successful because of one thing other manufacturers have failed to. Well Windows Phone isn't doing it bad either but that's not the point.

Apple isn't going to make their iPhone cheap not because of high profit per unit, but because they want their customers to have the best user experience they can. This is why they are doing really good.

22.ZEUS.the.thunder.god (unregistered)

Apple is really worried as this is yet another competitor which rivals and again possibly even betters their product but for a fraction of the price but this time they will have very little if no grounds on which to try and sue relentlessly to hide these factors. Instead this defensive approach is the first sign of apples anger

Sure it could. But if there are tons of suckers willing to pay $499-699 depending on model, I wouldn't lower my prices either unless a competitor forced me too.

Android tablets have largely been overpriced for what they offer. There hasn't been a killer app or compelling reason to buy one over Apple outside of preference. With Amazon getting into the fray, providing a strong experience at a significantly lower price, it'll be interesting to see what happens and how Apple reacts.

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